“You’re not going to miss these higher prices. Sad enough, you’re going to find out just what they look like come midnight.”
Washington D.C. — U.S. Senator Adam Schiff (D-Calif.) breaks down President Donald Trump’s announced tax on imported goods — taking effect at midnight — and explains how tariffs will raise costs for Americans.
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Read the full transcript below:
Schiff: So guess what happens at midnight?
At midnight tonight, a Trump tax goes into effect. 25% on goods from Mexico, 25% on goods from Canada, 20% on goods from China.
So what does this mean?
To listen to Trump, you would think these countries are going to be paying these taxes into our treasury. But that’s not how a tariff works.
Basically, when you place a tariff on goods, say to Canada, Canada doesn’t pay it. You pay it. The person importing the goods pays it, and then they pass on that cost to you.
So if you’re going to buy a car after midnight, you might pay 12,000 more in this Trump tax. You’re going to pay more for your food, any food that comes from Canada or Mexico.
You’re going to pay more for your house, for housing construction costs. All of these costs are going to go up thanks to Donald Trump. It’s why the market right now is tanking.
And if you don’t think 25% of a Trump tax is enough, I’ve got other news for you.
He is promising another tariff, another Trump tax on April 2, which he says, “Have fun!” Well, I don’t know about you, but paying higher prices doesn’t sound like much fun to me.
If you want a further explainer on tariffs, here’s a good scene from Ferris Bueller’s Day Off.
Teacher (in clip): The tariff bill, the Hawley-Smoot Tariff Act, which — Anyone? Raised or lowered? — raised tariffs in an effort to collect more revenue for the federal government. Did it work? Anyone? Anyone know the effects? It did not work, and the United States sank deeper into the Great Depression.
Schiff: Well, and as Ferris would say, “life moves fast,” and if you don’t stop and look around every now and then, “you just might miss it.”
You’re not going to miss these higher prices. Sad enough, you’re going to find out just what they look like come midnight.
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